CBA boss Ian Narev’s pay tops $8m

CBA chief executive Ian Narev’s take-home pay for the year, reported for the first time, hit $8.1 million as bonuses linked to customer satisfaction ratings and total shareholder returns in previous years were paid out.
Photo: Jim Rice

The second highest paid executive was chief risk officer
Alden Toevs
, who pocketed $7.2 million, followed by chief financial officer
David Craig
on $6.2 million, according to the bank’s annual report released on Monday.

CBA announced a review of all advice given to customers of its wealth management businesses between September 2003 and July 2012 after the report was released. ASIC has also forced it to re-open a previous compensation offer. However, even though the head of the Senate inquiry into ASIC,
Mark Bishop
, estimated CBA may need to pay another $200 million in compensation, its annual report confirms analysts’ views that potential extra payouts would not be “material" to its annual results.

The bank’s feted chief information officer,
Michael Harte
– credited with CBA’s industry leading IT upgrade – gets the fifth biggest package at $5.1 million as he leaves the company for Barclays Bank. Mr Toevs and Mr Craig were also the second and third-highest paid according to so-called statutory pay. This includes the market value of short and long-term incentives but doesn’t reflect what is actually paid to executives in that year. By this measure, Mr Toevs’ remuneration package reached $4.9 million and Mr Craig’s $4.6 million. Head of wealth management,
A
nnabel Spring
, took home just short of $3 million. Her statutory ­remuneration was up 8 per cent to $3.2 million.

NAB
,
ANZ
and
Westpac
haven’t yet released their pay figures for 2014, but based on their chief executives’ 2013 take-home pay, Mr Narev received the second-highest amount after Westpac’s
Gail Kelly
, who received $10.9 million in 2013. ANZ Bank’s Mike Smith got $5.35 million in 2013, although his statutory pay was twice that on $10.45 million. NAB’s then-CEO
Cameron Clyne
was awarded $7.76 million. NAB didn’t disclose take home pay.